This bill enhances provisions of the low-income housing tax credit and adjusts the credit to provide assistance during the COVID-19 (i.e., coronavirus disease 2019) pandemic.
Specifically, the bill
increases to three years (currently, two years) following an allocation of housing credits, the period for making rehabilitation expenditures for a low-income housing tax credit project;
extends to three years the period during which a project may be placed in service and remain eligible for the credit;
reduces for a two-year period the financing percentage for an affordable housing project from 50% to 25%;
establishes a 4% minimum credit rate for affordable housing projects that received a housing credit allocation after 2019;
makes permanent the expansion of the 9% housing tax credit;
increases the credit for low-income housing tax credit buildings that designate at least 20% of their occupied units for extremely low-income households;
increases the credit during a specified temporary period to compensate for construction or leasing delays due to the COVID-19 pandemic; and
allows a credit for low-income housing supportive services.
Actions
Jun 25, 2020
Read twice and referred to the Committee on Finance.